does paypal charge a fee to send an invoice

#Does paypal charge a fee to send an invoice how to#
#Does paypal charge a fee to send an invoice free#

If you have a shop on the Business plan of Squarespace, Squarespace takes their own processing fee (3%) in addition to the processor’s fee (also about 3%), for a total of 6% per transaction. Just kidding! They do tend to hide in places where you might not be expecting them. Since PayPal is a secure service, they can charge a fee for what they do. It also has to be a secure service for most customers to want to use them (because, ya know, they’re handling our money & have access to where we put it). and is likely all automated by computers, BUT that’s what they’re doing and that’s why they charge to do it.

Of course, this is all done with out real phone calls to banks, etc. Then helping both banks talk to each other to move that amount from one to the other –all in 2-3 business days, on average. Payment processing means basically calling the customer’s bank to check if the funds are there, then calling the shop owner/service provider’s bank & saying the funds are definitely there. They are all around 3% per transaction if your payment processor takes more than that you need to switch, because it’s higher than the competition and unless they offer some crazy extra features for that higher price point, you're overpaying in fees.

That seems to be true for most processors. They make money when customers use their payment system to process incoming vendor payments, by taking a small percentage of the transaction in return, which is usually around 2.9% +. They’re not charging me to buy something, but they are charging the shop owner/service provider I’m paying, –ALWAYS. So, if the service is free, the cards are free, the account is free, AND they’re giving money BACK TO ME… then how do they make their money? Processing payments, of course! So they are literally giving money back to me, only because I used their debit card to spend money. These aren’t credit cards either they’re just a debit card hooked up to the PayPal account.

#Does paypal charge a fee to send an invoice free#

Not only is that account free and the cards attached to it too, but we also get cash back rewards when we use the cards. Both my husband and I have a PayPal account with a card attached to it. Well, …I guess that' makes sense.”Īnd if your response was “Well duh–” then just move on to the next section, because this one isn’t written for you anyway! I know it might seem obvious, but I guess it isn’t because your response to that might’ve been, “…Oh.

These companies have fees because they are providing a service, and that’s how they make their money.

#Does paypal charge a fee to send an invoice how to#

You’ll learn why there are fees, what a standard fee looks like & where they’ll hide, how to work with them, who I trust (& who I don’t), and what you can/can’t do to work around them in your business. So let’s walk through it in a way that makes sense. I see and read and hear complaints about this all the time. Today I want to help set ya straight on payment processing fees.